Japan-UK economic and security cooperation will grow

Significance

Trade is only part of a complex set of bilateral links that have developed over the last five years. The United Kingdom aspires to a global role closer to Asia and the Pacific, in a partnership with Japan, while Japan aims to reduce its dependence on an unreliable United States.

Impacts

• The CEPA is a step towards UK membership of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership.
• The CEPA will enable cross-border data flows with high levels of data protection.
• Combined promotion of multilateralism by two leading middle powers and close US allies could help mitigate the effects of China-US rivalry.
• Renewable energy is one industry in which the two countries have strong reasons to cooperate.